The morning news. [volume] (Savannah, Ga.) 1887-1900, 1887-12-31

the Central Pacific Railroad Company,
now managers of the Southern Pacific Com
ny, of Kentucky, has evidently been to con-
struct and develop great system of rail-
roads starting from Portland, in the State
of Oregon, following the line of the coast to
Los Angeles with communications and
branches and connections suitable for
the requirements of the entire country
through which this line passes, including
the business of San Francisco and the bust
ness of Southern California. Their enter
prise then turns to the East. and passing
through Arizona New Mexico, Texas and
part of Louisiana, reaches the Gulf of
Mexico at New Orleans From this point
communication with New York is had by
water. Noportion of this network of railroad
is subject to the lien of the United States,
and glance at the map shows the result of
the ACKNOWLEDGMENT or separation, leaving
the aided line of the Central Pacific Rail-
road Company to itself and organizing the
railroad just described into complete sys-
tenn of communication of its own" In re-
ply to various questions propounded in the
bill creating the commission the query as
to whether aided companies have
observed all the obligations inn
posed on them, the commission
among other things says the obligations re-
qirlng assessments upon the stockholders OF
not less than s. per share at six -lnonths in
tervals until the par value should be fully
paid has not been kept by any road. 1t is
the Judgment of the commission that no
dividends of any of the bond-aided COM
panies have ever been paid in violation of
the law, but it does not wish to be under
stood as approving of the policy of dis
tributing the assets of the respective COM
panies in this manner.
INFLUENCING LEGISLATION.
Replying to the question as TO whether
money or other valuable consideration had
been paid for influencing legislation. the
report says the moneys of all the bond
aided roads have been SO used, but adds that
there is no direct proof that actual bribery
was resoFted to- The evidence is said. how
ev-r, to have established frequent use by
the officials of the Union Pacific of money
and passes for the purpose of influencing
legislation.
The minority report of Commissioner
Pattlson is harsher in its characterization of
the men who constructed and managed
these subsidized roads, and their methods,
and his recommendations are more radical,
nothing less than an immediate winding up
of the affairs of all the companies,
enabling the government to withdraw at
once from all connection with the
running of railroads or sharing
in the profits of their manage
ment. Ills differences with his
brother commissioners in setting forth the
details of the evidence upon which he bases
his conclusions is chiefly one of degree He
calculates that the total aid extended to the
six companies amounts TO over SAT, 100000.
Only 81, ,000, 900 was received for stock. and
$91 ,000, 900 of stock was issued These roads
were built for less than S96,000000, while
bonds and stocks were issued amounting
to $26S, 200, 900. He characterizes the man
agement of the subsidized roads as a ma
tional disgrace, and says these men chose
dishonest methods Huntingtofi f4onkins,
Stanford and Crocker, he says, through
contracts made by themselves with them
selves for construction, leases and repairs,
divided over $142, 900, ,000i in cash and securi-
ties. The entire report in fact is one long
bill of Indictment against the management
of the subsidized roads, and his final recon-
mendation is a receivership